The scheme has been perceived by many as unfair and fraudulent, and it is the loans-for-shares scheme that gave rise to the class of Russian business oligarchs, who have concentrated enormous assets, further increasing the wealth gap in Russia and contributing to the political instability. Furthermore, in the medium-term, this scheme significantly hurt Russian growth since the oligarchs realized that their purchases could be seen as fraudulent by future governments and thus they attempted to strip assets from the government enterprises rather than build th…―Loans for Shares‖ Revisited Daniel Treisman1 Abstract The ―loans for shares‖ scheme of 1995-6—in which a handful of well-connected businessmen bought stakes in major Russian companies—is widely considered a scandalous affair that had disastrous consequences for the Russian …The "loans for shares" scheme of 1995-6--in which a handful of well-connected businessmen bought stakes in major

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